Ensuring that your practice accounts receivable is healthy and perfect is not an insurmountable task – with the proper approach and by using the right tools and vision, you can establish an acceptable number as the outstanding balance of your practice.
Basics of Medical Practice Accounts Receivable
It is a general rule that a medical organization’s monthly accounts receivable must not exceed 1.50 times its monthly charges. This way, you can gauge how your billing service operates. In case your accounts receivable exceeds this level, you need to seriously investigate what is going on around.
It often happens in medical practices across the globe that cash flow becomes an issue. This is where practices need to arrive at an effective way to improve their collection efforts and boost the dwindling cash flow for ensuring the financial stability of the practice. Accounts receivable plays a vital role in the revenue cycle of health care organizations.
Steps to Achieve Healthier Accounts Receivable
Most of the health care organizations would be naturally vying for making their 30-day category to form the major portion of their total accounts receivable. Although appearing to be difficult, it is very much possible. By following the below-mentioned strategies, medical practices may meet this benchmark:
- Claims need to be billed on a daily basis
- Billing your claims daily leads to claims being processed within 30 days, avoiding it to fall in to the 30-60 day slab
- Regular Follow-up With Billing Department is Must
- Regardless of whether billing process is performed internally or is being outsourced, it is critical to follow up with billing professionals – certain billing companies may not be interested in secondary claims since yield is low in them – following up with them helps lowering accounts receivable
- Documentation Needs of the Billing Department Must be Fulfilled Quickly
- If the billing department is requesting for any additional documentation for fulfilling a payment delay or denial, or for processing a claim, it is essential that your staff get back to them in the shortest time possible – this makes sure that your accounts receivable doesn’t get carried to the 60-90 day category
- All Practitioners Must be on Your Insurance Contracts
- All physicians, physician assistants, and nurse practitioners must have their license number and other such professional details duly filled in their applications – ensure that your staff fill out these information properly
Accounts Receivable Follow Up Solutions from Rapid Care
Rapid Care Transcription Pvt Ltd has been providing unrivalled revenue cycle management services to all types of medical practices regardless of their size and specialty. We help clients to prevent their claims rolling past the 30-day category. Our solutions ensure that you send out clean claims and get paid promptly.
We have been in the health information technology services since more than a decade. For further details, you are welcome to visit our website www.rapidcare.net